Does applying for finance affect my credit score?
Asking a broker for an indication does not affect your credit score. A formal credit enquiry is recorded on your file and can have a small effect, particularly if several are made in a short period. We will always tell you before running one.
The detail
There is an important difference between an indication and an application. Working out roughly what something would cost, and what your options look like, does not require a credit check and leaves no mark on your file.
A formal enquiry is different. It is recorded, other lenders can see it, and a cluster of them in a short window looks like someone applying everywhere at once, which lenders read as a warning sign. That is the real risk, rather than any single enquiry.
This is one of the practical advantages of using a broker. One application is assessed against a panel, rather than you applying to four lenders separately and collecting four enquiries in a fortnight.
Related questions
How long does an enquiry stay on my file?
Credit enquiries generally remain visible for around five years in New Zealand, although their influence fades well before that.
Will checking my own credit file affect it?
No. You are entitled to request your own credit file from the New Zealand credit reporting agencies, and doing so does not affect your score.
Can I find out my options without a credit check?
Yes. Tell us what you are buying and roughly where your finances sit, and we can give you a realistic picture before anything formal happens.
Get started today
Tell us what you are looking to finance and we will come back with real options - usually the same day.